European Union member states are discussing several options on how to respond to President Donald Trump’s latest tariff threat, including retaliatory tariffs on 93 billion euros ($108 billion) of U.S. goods, according to people familiar with the matter.
EU ambassadors met in Brussels on Sunday night to try to formulate a joint response to Trump’s announcement that he would impose 10% tariffs on eight European countries on February 1.
One of the other options being discussed is the use of a powerful tool called an “anti-coercion tool,” the person, who requested anonymity discussing sensitive conversations, added. French President Emmanuel Macron suggested on Sunday that the European Union should consider using the new tool, although France has backed away from using it in the past after Trump threatened retaliation.
Last year, the EU approved retaliatory tariffs on 93 billion euros of U.S. products, but suspended implementation after the two sides reached a trade agreement. European lawmakers said over the weekend they would delay ratification of the trade deal, citing Trump’s latest move.
The Financial Times earlier reported discussions about reinstating retaliatory tariffs.